The Public Company Accounting Oversight Board (PCAOB) has sanctioned PWR CPA for audit breaches and reporting violations during the 2022 Ainos audit, along with four other issuer audits. PWR CPA agreed to a $60,000 fine and corrective measures. The firm neither admitted nor denied the findings. PCAOB identified audit violations in PWR’s Ainos audit, including risk assessment failures and lack of fraud risk inquiries.

PCAOB standards require auditors to assess risks and design appropriate procedures to protect investors. Oversight board chair Erica Williams emphasized the importance of evaluating fraud risks for investor protection. PWR’s shortcomings heightened investor risks. The PCAOB also found that PWR failed to submit required Form APs on time and neglected to report a barred partner appointment on Form 3.

PCAOB’s enforcement staff conducted the investigation, leading to the sanctions on PWR CPA. Director Robert Rice stressed the importance of adhering to PCAOB rules and standards in audits, especially in evaluating fraud risks. The PCAOB aims to hold firms accountable for violations of core rules and standards.

Read more at Yahoo Finance: PCAOB fines PWR CPA for audit failures and reporting violations